The only reserve asset, which Russia controls, is gold, meaning that the country might soon open its arms to bitcoin, Bill Miller opined.
Legacy investor, fund manager, and philanthropist Bill Miller believes that the financial sanctions imposed on Russia could cause bitcoin’s price to soar. He pointed out that gold is the only reserve asset the largest country by landmass controls on its own, meaning that BTC might gain traction in the days to come.
BTC’s Surge Following The Crash of The Ruble
The military conflict in Ukraine changed the tides in the financial world drastically. NATO and the EU declared economic war on Putin’s regime. The USA, the UK, Germany, and many others cut their monetary connection with Russia and excluded the many Russian banks from the major payment system SWIFT.
As a result of those sanctions, the ruble plummeted by over 25%, while Russian citizens started looking for alternative financial instruments to preserve their savings. Bitcoin trading volumes in the region spiked to record levels.
In a recent interview for CNBC, the former Chairman of Legg Mason Capital Management – Bill Miller – outlined that Russia keeps 16% of its reserves in dollars and 32% in euros. Those assets are managed by “people who want to do them harm.” He further stated that the only part of their reserves, which other nations can not control, is gold (22%). According to Miller, these metrics are a “very bullish” sign for bitcoin.